State Foreclosure Laws

Summary:

Judicial foreclosure in Louisiana takes two forms. First is the typical process in which the lender must sue the borrower in court and obtain an order to foreclose.

The second is called the executory process in which the mortgage document contains a “confession of judgment” which can then be executed in the event of default. The court then issues an order to foreclose, issues a demand for payment of the delinquent amount and gives the borrower three days to cure the default. If the borrower fails to do so, the court then issues a writ of seizure and sale.

The sale must be advertised for 30 days, and then the property may be sold at auction. The lender may then sue again for any deficiency balance, and the borrower has no right of redemption.

Links:

• RS 10:9-601 Part 6. Default. Subpart 1. Default and Enforcement of. Security Interest
  Law which regulates the process of a default.
  
  
• RS 10:9-629 Subpart 3.  Judicial Proceedings
  Law which regulates the process of a judicial proceeding in foreclosure.
  
  
• RS 37:3104 Bankruptcy
  Law which regulates foreclosures that do not apply to bankruptcy proceedings.
  
  
• RS 9:2944 Timely payment of installments precludes foreclosure
  Law which allows the owners to keep real property unaffected by foreclosure.
  
  
• RS 9:3197 Transfer of a Foreclosure
  Law which regulates a foreclosure not to be transferred.
  
  
• H.R. 3958
  To provide disaster relief and incentives for economic recovery for Louisiana residents and businesses affected by Hurricane Katrina.
  
  
• Louisiana State Statutes